Adobe (ADBE) Reports Q1: Everything You Need To Know Ahead Of Earnings
Stock Story
Published Mar 13, 2024 03:01AM ET
Updated Mar 13, 2024 08:01AM ET
Adobe (ADBE) Reports Q1: Everything You Need To Know Ahead Of Earnings
Creative software maker Adobe (NASDAQ:ADBE) will be announcing earnings results tomorrow after market hours. Here's what investors should know.
Last quarter Adobe reported revenues of $5.05 billion, up 11.6% year on year, in line with analyst expectations. It was a mixed quarter for the company, with revenue, adjusted operating income, and EPS exceeding expectations. These beats were driven by outperformance in its digital media and digital experience segments. Next quarter's earnings guidance also exceeded Wall Street's estimates.
On the other hand, this quarter's free cash flow missed expectations, and its full-year FY24 revenue guidance was below estimates, with management providing a weaker outlook for digital media net new ARR and digital experience subscription revenue.
Is Adobe buy or sell heading into the earnings? Find out by reading the original article on StockStory.
This quarter analysts are expecting Adobe's revenue to grow 10.5% year on year to $5.15 billion, improving on the 9.2% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $4.38 per share.
The analysts covering the company have had mixed opinions about the business heading into the earnings, with revenue estimates seeing three upward and three downward revisions over the last thirty days. The company missed Wall St's revenue estimates twice over the last two years.
With Adobe being the first among its peers to report earnings this season, we don't have anywhere else to look at to get a hint at how this quarter will unravel for vertical software stocks, but investors in the segment have had steady hands going into the earnings, with the stocks up on average 0.9% over the last month. Adobe is down 3.5% during the same time, and is heading into the earnings with with analyst price target of $645.1, compared to share price of $581.1.
Get The News You Want
Written By: Stock Story
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.